Sanchez Company engaged in the following transactions during Year 1: Started the business by issuing $14,300 of common stock for cash. The company paid cash to purchase $8,500 of inventory. The company sold inventory that cost $5,900 for $12,400 cash. Operating expenses incurred and paid during the year, $5,400. Sanchez Company engaged in the following transactions during Year 2: The company paid cash to purchase $12,600 of inventory. The company sold inventory that cost $10,100 for $19,000 cash. Operating expenses incurred and paid during the year, $6,400. Sanchez uses the perpetual inventory system. What is Sanchez's gross margin for the Year 2? Multiple Choice $10,100. $8,900. $2,500. 4